Brazil gov’t proposes $295.94 minimum wage in 2019

Next year, the current formula on minimum wage increase will apply for

The Brazilian government proposed a $295.94 minimum wage for next year (up 5% from today’s $281.77), as announced Thursday (Apr. 12) by Planning Minister Esteves Colnago and Finance Minister Eduardo Guardia.

In 2019, the current readjustment formula will be applied for the last time. Under the law, the minimum wage must be corrected according to the official inflation from the previous year and the variation in the country’s gross domestic product (GDP).

In 2017, Brazil’s GDP rose 1%. For the estimated inflation, the government considered the 4% forecast from the Focus Market Readout, a study that surveys over 100 financial institutions, released weekly by the Central Bank.